Testing market related pricing and preparing for market related price negotiations

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The Preferential Procurement Regulations of 2017 (sub-regulation 9(a)) require that “…if the price offered by a tenderer scoring the highest points, is not market-related, the organ of state may not award the contract….” and then provides a process for negotiating with bidders.

Date:

To be announced

Course Venue:

Midrand

Cost:

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R R1 550 excluding VAT

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Course Objectives

The Preferential Procurement Regulations of 2017 (sub-regulation 9(a)) require that “…if the price offered by a tenderer scoring the highest points, is not market-related, the organ of state may not award the contract….” and then provides a process for negotiating with bidders.

Other Dates:

Dates to be confirmed

This regulation implies that organs of state will have to test that the price is indeed market-related. How do public sector role-players determine if the price is market-related? How is the “market” defined and how does one demonstrate that the price was indeed verified to be with market norms?

This workshop provides guidelines on the determination of market-related pricing. It also looks at court cases that touch on market-related pricing. The workshop will provide guidelines that can be used by SCM role players, Bid Evaluation Committees and Bid Adjudication Committees.

You will learn

  • Market/industry research and analysis in the context of Bid Invitations., The strategic sourcing options to be considered before embarking on a Bid Invitation process., A framework for organising and compiling bid invitations., The establishment; structure and role of the Bid Specifications Committee (BSC)., Important requirements of the Preferential Procurement Regulations that influence evaluations; particularly local production and content; functionality; sub-contracting and consortiums., The purpose of the General Conditions of Contract; the relationship with Special Conditions of Contract and which Standard Bid Documents (SBDs) are required and when., Improve your skills in writing effective Bid Invitations by understanding important terms to include and what to avoid., The role of the Bid Adjudication Committee in approving specifications., How to check the Bid Invitation prior to submission to the Bid Adjudication Committee (particularly compliance with PPPFA requirements).

Who should attend

  • Accounting Authorities; Accounting Officers and Senior Managers in national; provincial and municipal government, Chief Procurement Officers, Procurement and Supply Chain Managers, Supplier Relationship Managers, Team Leaders, Commercial Specialists, Contract Managers, Sourcing Managers, Project Managers,

This course is part of: